Bond portfolio yield. Suppose you have just created a bond portfolio made up of three bond holdings. You bought 100 corporate bonds that have coupon rates of 7.4%, compounded semiannually, with 14 years left until maturity. You bought 50 government coupon bonds that have coupon rates of 4.1% and are compounded semiannually with 21 years left until maturity.

You bought 150 zero-coupon government bonds that have five years left until maturity. All three bonds have face value of $1,000.

Your purchase prices on the bonds are (1) corporate bonds ($1,078.35),

(2) government coupon bonds ($976.34), and (3) zero-coupon bonds

($776.55).

What is your portfolio YTM?